The first multimillion dollar infrastructure funding agreement between the National Housing Finance and Investment Corporation (NHFIC) and the South Australian Government has been finalised, accelerating the delivery of new social and affordable housing in the state.
NHFIC CEO Nathan Dal Bon said the innovative deal would allow South Australia to access up to $45 million in loans and grants through the National Housing Infrastructure Facility (NHIF), which is administered by NHFIC.
“This five-year funding agreement with the South Australian Housing Authority will fast-track the delivery of crucial infrastructure across parts of metropolitan Adelaide to develop more than 600 social, affordable and market homes in these areas,” Mr Dal Bon said.
This NHIF deal builds on the $125 million of finance that NHFIC has already provided to SA community housing providers to promote the supply of more affordable housing.
SA Housing Authority chief executive Michael Buchan said, “This innovative financing means the Authority is able to access $45 million in loans and grants to fund the infrastructure associated with building housing, including affordable housing.
“It is the sort of innovation we are looking for under the Our Housing Future 2020-2030 to increase the supply of affordable housing in South Australia.
“Developing market homes for sale gives the Authority the opportunity to re-invest money from these sales back into social housing. We will release more information about these projects later in the year.”
The $1 billion NHIF is an Australian Government initiative that provides finance for eligible infrastructure projects that will unlock new housing supply, particularly affordable housing.
The NHIF offers both concessional loans and grant funding for new or upgraded infrastructure needed for new housing, such as roads, water, sewerage, electrical, communications, and remediation.